Startups across Africa raised a combined $254 million in May 2025, a slight dip from April’s total but an improvement over March, according to data from Africa: The Big Deal.

While the figure doesn’t break any monthly records, it brings the continent’s year-to-date funding haul to over $1 billion, up 40% from the $750 million recorded during the same period last year.

The data also shows that African Startups have secured $2.5 billion over the last 12 months (June 2024 to May 2025), marking the highest rolling 12-month total since early 2023.

The funding trend reflects a tightening of deal flow, but a continued appetite from investors to back high-potential ventures with larger cheque sizes.

Only 36 startups disclosed raises of $100,000 or more in May, fewer than in previous months.

However, seven of them landed funding rounds of over $10 million, underlining a growing preference among investors for placing bigger bets on fewer companies.

Egypt led the charge, claiming six of the seven largest deals in May and cementing its position as Africa’s top investment destination for startups in 2025.

Egyptian startups have now raised more than $330 million this year, representing 31% of total disclosed investments across the continent.

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The standout deal of the month came from Nawy, an Egyptian proptech company, which secured $75 million.

That included $52 million in equity from a Series A round led by Partech, and $23 million in debt, making it the largest-ever proptech deal in Africa.

Other major deals from Egypt included a $50 million corporate bond issuance by Tasaheel, a subsidiary of MNT-Halan, the country’s largest to date.

Fintech firm Valu raised $27 million from Saudi investors as it prepares for a public listing, while Thndr and Sylndr each raised over $15 million in fresh capital.

Money Fellows, a digital savings and credit platform, pulled in $13 million in a pre-Series C round aimed at fueling regional expansion.

The only non-Egyptian startup to close a $10 million+ deal in May was AURA, a South African healthtech firm.

It raised $15 million in a Series B round co-led by Partech and the Climate Action Investment Fund (CAIF) to support its expansion into the U.S. market.

Egypt’s dominance extends beyond funding.

Of the four major startup exits recorded in May, three were Egyptian.

These include the acquisition of Fatura by MaxAB-Wasoko, a merger between wellness platforms Miran and Welnes, and Catalyst Partners Middle East’s $23 million acquisition of Qardy.

West Africa also saw a notable exit, with solar energy firm BioLite acquiring a majority stake in Baobab+, a provider of digital and off-grid energy services.

Egypt continues to lead Africa’s startup funding race with 31% of total investment so far in 2025, followed by South Africa with 26%, Nigeria at 15%, and Kenya at 12%.

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